The revocation of Heritage Bank’s operating licence by the Central Bank of Nigeria (CBN) has resulted in the freezing of approximately $5.7 million allocated to Yobe State under the World Bank-supported Multi-Sectoral Crisis Recovery Project (MCRP), with only a fraction of the amount recovered.
This was disclosed in a recent project restructuring report, which revealed that following the CBN’s action on June 3, 2024, only $0.5 million of the affected funds has been successfully retrieved by the state, leaving a balance of $5.2 million still inaccessible.
“Approximately $5.7m allocated to Yobe State was inaccessible at Heritage Bank following the revocation of its licence by the CBN on June 3, 2024. The state successfully recovered over $0.5m of these funds. The team is working with the World Bank Financial Advisory to determine the most effective strategy for reclaiming the remaining $5.2m,” the report stated.
The Multi-Sectoral Crisis Recovery Project, which began in 2017 and officially closed on May 31, 2025, was designed to support the recovery of conflict-affected areas in northeastern Nigeria, particularly in Adamawa, Borno, and Yobe states. The project aimed to restore livelihoods, improve access to basic services, and strengthen social cohesion after years of insurgency and instability.
Despite the challenges, the MCRP achieved full disbursement of its $378.2 million allocation. Over 1.4 million people directly benefited from the project through improved access to healthcare, education, roads, and water infrastructure. Nearly 2,000 subprojects were completed, although some road construction efforts in Adamawa and Yobe states were disrupted by persistent insecurity.
The report notes that the project has made notable strides in supporting women and community-level peacebuilding efforts, with women making up 49 per cent of over 1.3 million individuals who recorded improved livelihoods through the initiative.
Additionally, infrastructure upgrades have boosted service delivery for more than 2.5 million people. Rehabilitated schools and health facilities are contributing to better educational and healthcare outcomes across the region. Capacity-building efforts also targeted researchers, teachers, and community leaders to foster sustainable development in the Lake Chad Basin area.
Despite its overall satisfactory rating from the World Bank, the freezing of Yobe’s remaining funds due to the shutdown of Heritage Bank has raised serious concerns. With the project officially concluded, stakeholders now face the pressing challenge of recovering the trapped $5.2 million to consolidate gains made in the state.